The Star Entertainment QLD Ltd v Wong Yew Choy: Gambling Debt, Illegality & Public Policy

In The Star Entertainment QLD Ltd v Wong Yew Choy, the Singapore International Commercial Court dismissed The Star Entertainment's claim against Wong Yew Choy for approximately AUD $43 million in gambling losses. The court, presided over by Jeremy Lionel Cooke IJ, held that Section 5(2) of the Civil Law Act bars actions to recover gambling debts, regardless of where the debt was incurred or the governing law of the contract. The court rejected the argument that Singapore's public policy should not apply to a valid foreign debt, emphasizing that the Act is procedural and prevents the Singapore courts from enforcing gambling debts.

1. Case Overview

1.1 Court

SINGAPORE INTERNATIONAL COMMERCIAL COURT

1.2 Outcome

Action dismissed.

1.3 Case Type

Civil

1.4 Judgment Type

Judgment

1.5 Jurisdiction

Singapore

1.6 Description

Singapore court bars The Star Entertainment from recovering gambling losses from Wong Yew Choy due to Section 5(2) of the Civil Law Act.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
The Star Entertainment QLD LtdPlaintiffCorporationClaim DismissedLostLim Than Lim Alfred, Lye May-Yee Jaime, Verna Goh
Wong Yew ChoyDefendantIndividualClaim DismissedWonVergis S Abraham, Lim Mingguan

3. Judges

Judge NameTitleDelivered Judgment
Jeremy Lionel CookeInternational JudgeYes

4. Counsels

Counsel NameOrganization
Lim Than Lim AlfredFullerton Law Chambers LLC
Lye May-Yee JaimeFullerton Law Chambers LLC
Verna GohFullerton Law Chambers LLC
Vergis S AbrahamProvidence Law Asia LLC
Lim MingguanProvidence Law Asia LLC

4. Facts

  1. The Plaintiff is a company that operates a casino in Queensland, Australia.
  2. The Defendant is a Singapore citizen who gambled at the Plaintiff's casino.
  3. The Defendant signed a Cheque Cashing Facility agreement with the Plaintiff.
  4. The Defendant incurred gambling losses of approximately AUD $43 million.
  5. The Plaintiff presented a blank replacement cheque to cover the losses, but the Defendant stopped payment.
  6. The Plaintiff sued the Defendant in Singapore to recover the gambling losses.
  7. The Defendant argued that Section 5(2) of the Civil Law Act barred the claim.

5. Formal Citations

  1. The Star Entertainment QLD Ltd v Wong Yew Choy, Suit No 3 of 2019, [2020] SGHC(I) 15

6. Timeline

DateEvent
Defendant provided a blank cheque to The Star Sydney.
Defendant began gambling at The Star Gold Coast.
First dealing error occurred at the casino.
Plaintiff provided a letter of apology to the Defendant.
Defendant departed from The Star Gold Coast.
Plaintiff completed the details for the Blank Replacement Cheque.
Suit No 3 of 2019 filed in the Singapore International Commercial Court.
Court hearing.
Judgment issued.

7. Legal Issues

  1. Enforceability of Gambling Debts
    • Outcome: The court held that Section 5(2) of the Civil Law Act bars the enforcement of gambling debts in Singapore, regardless of where the debt was incurred or the governing law of the contract.
    • Category: Substantive
    • Sub-Issues:
      • Application of Section 5(2) of the Civil Law Act
      • Public policy considerations regarding gambling debts
      • Enforcement of foreign gambling debts
    • Related Cases:
      • [2002] 1 SLR(R) 306
      • [1999] 2 SLR(R) 183
  2. Summary Judgment
    • Outcome: The court dismissed the Plaintiff's application for summary judgment, finding that there were triable issues of fact that could not be resolved without cross-examination of witnesses.
    • Category: Procedural
    • Sub-Issues:
      • Triable issues of fact
      • Credibility of affidavit evidence
  3. Striking Out a Claim
    • Outcome: The court granted the Defendant's application to strike out the Plaintiff's claim, finding that it had no prospect of success due to Section 5(2) of the Civil Law Act.
    • Category: Procedural
    • Sub-Issues:
      • Reasonable cause of action
      • Abuse of process

8. Remedies Sought

  1. Monetary Damages

9. Cause of Actions

  • Breach of Contract
  • Action on a dishonoured cheque

10. Practice Areas

  • Commercial Litigation
  • International Law

11. Industries

  • Gambling
  • Hospitality

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Star City Pty Ltd v Tan Hong WoonSingapore Court of AppealYes[2002] 1 SLR(R) 306SingaporeCited as a key authority establishing that Section 5(2) of the Civil Law Act prevents the recovery of gambling debts in Singapore, regardless of the location where the debt was incurred or the governing law of the contract.
Star Cruise Services Limited v Overseas Union Bank LimitedSingapore High CourtYes[1999] 2 SLR(R) 183SingaporeCited for the principle that Section 5(2) of the Civil Law Act is a procedural statute that applies to all actions brought in Singapore, irrespective of where the cause of action arose.
Las Vegas Hilton Corp v Khoo Teng Hock SunnySingapore High CourtNo[1996] SLR(R) 589SingaporeCited as a case that was later disapproved for not fully considering the implications of Section 5(2) of the Civil Law Act.
Liao Eng Kiat v Burswood Nominees LimitedSingapore Court of AppealNo[2004] 4 SLR(R) 690SingaporeCited as a case that was later criticized for its interpretation of public policy in relation to gambling debts and foreign judgments.
Poh Soon Kiat v Desert Palace IncSingapore High CourtYes[2010] SLR 1129SingaporeCited for its extensive discussion of the public policy underlying Section 5(2) of the Civil Law Act and its criticism of the Burswood decision.

13. Applicable Rules

Rule Name
Rules of Court

14. Applicable Statutes

Statute NameJurisdiction
Civil Law ActSingapore
Bills of Exchange ActSingapore
Reciprocal Enforcement of Commonwealth Judgments ActSingapore
Casino Control ActSingapore
Common Gaming Houses ActSingapore
Betting ActSingapore
Remote Gambling Act 2014Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Gambling Debt
  • Cheque Cashing Facility
  • Blank Replacement Cheque
  • Section 5(2) Civil Law Act
  • Public Policy
  • Gaming Losses
  • Wager
  • Casino
  • Rules of Court
  • Summary Judgment
  • Strike Out

15.2 Keywords

  • Gambling
  • Casino
  • Debt
  • Singapore
  • Civil Law Act
  • Contract
  • Enforcement
  • Wager
  • Cheque
  • Public Policy

16. Subjects

  • Contract Law
  • Gaming Law
  • Civil Procedure
  • Conflict of Laws
  • Debt Recovery

17. Areas of Law

  • Contract Law
  • Civil Procedure
  • Gaming Law
  • Conflict of Laws